Mattel Inc. and Jakks Pacific Inc. each announced deals to make wrestling action figures Wednesday.
El Segundo-based Mattel said it has reached an agreement with World Wrestling Entertainment Inc. to make a line of toys based on its popular wrestlers.
Malibu-based Jakks announced a separate deal, with WWE rival TNA Entertainment. Both deals take effect in 2010. Financial terms were not disclosed.
Jakks currently holds the license to make toys based on WWE, however due to differences on both sides of the deal; a new agreement will not be reached when the current one expires at the end of the year.
In December, a New York federal district dismissed a lawsuit from World Wrestling Entertainment that accused Jakks of bribery and other actions in order to win a large contract to make toys based on wrestling superstars. The lawsuit by the wrestling promoter was looking to void toy and video game licenses and was originally filed in 2004.
Shares in Mattel were up 2.1 percent to $21.65 while shares in Jakks dropped 4.8 percent to $24.63 in afternoon trading Wednesday.
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